Gittin Online Gaming (GO) is planning to retire its online gambling business, with chief executive and founder Michael Gittlin citing the “growing pains” as the reason.
“Online gambling is one of the most important business activities in the world, with hundreds of millions of gamblers worldwide playing in this market.
It is a big part of our business, as well as a huge source of income for us,” he told reporters.
Gittlin said he is looking at options for the business, but would not comment on whether it would sell off its operations.
The online gambling giant is set to make an initial cash payment of €1.3 million to its former CEO and co-founder, Mario Gittini, but it is unclear how much he will be paid.
The Italian, who has not yet been named in a news release announcing the decision, was previously chief executive of gambling software provider Bet365.
His resignation is expected to be announced on Friday, the company said on Twitter.
GO is one the first online gambling companies to be caught up in a court case over alleged money laundering by its former founder, Michael Gettlin, who is awaiting trial on charges of money laundering and conspiracy to commit money laundering.
Gittini’s former company was set up by the former Italian prime minister, Silvio Berlusconi, in 2012 and was the subject of an investigation by the Italian police.
The case was settled last year for a small amount, with Gittelli paying €2.5 million to settle a €1 million fraud case.
However, Gittli was later charged with fraudulently obtaining €8.7 million in funds from an account in Switzerland and was given a suspended jail sentence in 2015.
The court decision was overturned by a court in 2014 and the case was dropped.
He was also charged with tax evasion and money laundering in 2014.
Gettini was sentenced to a 12-month suspended jail term and ordered to pay €11.4 million in restitution, according to a report by The Times of London in 2014, which cited court documents.
The ruling was later overturned and Gittisi was given the same sentence as he received for the same charges in 2015, The Times said.
A Gittkin spokesman declined to comment on the new developments on Friday.
Gutti was appointed as Gittler’s replacement on August 31.